Report: Optical Network Hardware Market Hits $3.6B

The worldwide optical network hardware market increased 3 percent in the third quarter to hit $3.6 billion, and 2007 will mark the highest revenue year for the market since the crash in 2001, according to a Infonetics Research report.

The third quarter gain comes on the heels of a 14 percent gain in the second quarter, the report showed.

Some highlights from the report:

• Worldwide optical manufacturer revenue will grow to more than $13 billion in 2010, as WDM product revenue increases and SONET/SDH revenue decreases each year starting in 2008. 
• ROADM switch sales are up 10 percent in over the second quarter.
• The burgeoning packet optical transport system (POTS) hardware makes up 6 percent of total optical revenue.
• Alcatel-Lucent continued its lead in worldwide metro WDM optical revenue, followed by Cisco, Nortel, and ADVA.
• Cisco moved to the top spot in worldwide metro ROADM market share, Huawei jumps to second and Fujitsu remains third. Tellabs drops from No. 1 in the second quarter to No. 4 in the third quarter.
• In the third quarter, 35 percent of all optical network hardware revenue comes from EMEA, 33 percent from North America, 26 percent from Asia Pacific and 6 percent from CALA.

Infonetics' report provides market share, market size, and forecasts for metro and long haul optical equipment, broken out by SONET/SDH vs. WDM, with transport and switch splits, DWDM and CWDM splits, and ROADM/non-ROADM splits. The report now tracks packet optical transport systems as well. Forecasts and regional market share are updated quarterly and cover all regions.

The report tracks ADTRAN, ADVA Optical, Alcatel-Lucent, Ciena, Cisco, Corrigent, Corvis, ECI Telecom, Ericsson, Fujitsu, Huawei, Infinera, Marconi, Meriton, NEC, Nokia Siemens Networks, Nortel, OpVista, Sycamore, Tellabs, Transmode, Turin, Zhone, ZTE, and others.

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